The Enforcement Directorate (ED) on Friday raided the Nemom Service Cooperative Bank in Kerala in connection with alleged financial irregularities amounting to Rs 97 crore, media reports say.
The ED team from Kochi conducted the search amid growing political tension, as the bank was managed by a CPM-led committee and the action comes ahead of local body polls.
Earlier this year, the Cooperative Department found large-scale mismanagement after several depositors were denied repayment. The Crime Branch had already arrested three officials, including the president and secretary.
The inquiry revealed the bank owes around Rs 35 crore, of which only half may be recoverable through legal proceedings.
